it's clear that success came with a heavy price tag morality murdoch's journalist kept the ratings high by violating and exploiting the vulnerable they hacked the private voice mails of families of dead soldiers and of murdered children assigned me we've seen criminality and invasion of privacy on a staggering industrial scale not even the rich and powerful could escape then chancellor gordon brown's baby was splashed over the front page of the sun his illness a sick headline royal family phones were hacked the scandal even goes right to the heart of the police force senior police officers were bribed by journalists for tipoffs on sensitive investigations private lives were made public now we've got. to be some hacking into gordon brown's private life you have to so you have to stop what else is in and of course it's the heart of it it's not just. the use of what

we call blanket these are people. information what should be private sources like medical records tax records it's taken thirty years for the worst fears about the british press to come true but come true they have murdoch may own successful newspapers in an ailing market but their papers which have lost their greatest asset the public's trust the u.k. has more c.c.t.v. cameras per person than anywhere else in the world i've counted eight just in this small car park so britons always know big brother is watching but the question now is what's big brother watching for and more importantly who's trying to bribe him lower and it r.t. london. what will this mean for the global murdoch media empire. looks like a proper police investigation for the first time into this it could. well mean that

we see rupert murdoch's empire in britain crumbling collapsing. we spoke on the issue with u.k. based investigative journalist tony goelz ling you can check out our website at www dot com for the full interview with. the same credit rating agency that sparked fresh panic in the e.u. now threatens to review america's aaa credit score for a downgrade that's the first time in over ten years and says there's a risk the u.s. could fail to resolve the deadlock in its budget negotiations and even if the package is approved it's unlikely to offer a solution to america's debt that's according to investor and co-founder of the quantum fund jim rogers you know understates already has been downgraded in the world markets every i'm not the only person who knows that the united states is the largest debtor nation in the history of the world look at the value of the u.s. dollar is down fairly significantly over the past few years they have to increase the debt ceiling for the moment there's no question about that their choice though

for the future is they've got to take an axe you know they've got to take a change so to government spending and do something about it they're not going to do that they might announce they're going to do it for this to get the budget ceiling passed but it's not going to have any effect everybody sees that washington is not going to solve this problem and more and more people are looking for something to replace the u.s. dollars. the eurozone debt crisis now focuses on italy where the senators approved tough new austerity measures the package is set to receive final approval in the country's lower house on friday it comes amid concerns that italy the euro zone's third largest economy may be next to ask for a helping hand follows both arlen and portugal having their ratings downgraded to junk status meaning a serious blow to the bailout ridden europe which struggles to profits weakest economies well for more on the e.u. debt worries are now joined by a financial adviser and wealth manager marco pierre to polly he said for us live in london thanks so much for being with us here on r.t.

will these cuts are to be implemented over the next three years will they be enough for italy to avoid a bailout or could it be too little too late. well we'll see how the markets react and we'll see how severe the austerity package is of course in the short term that my appease the markets but moving forward firstly is it may be difficult to actually implement these cuts as the british are finding over here but also severe austerity measures may well also tip the balance and push it back into into recession which again will will that make the situation worse and and therefore make the deficit situation worse why would it be difficult to impose those austerity measures difficult in terms of the reaction from the italian people. that there is that side but dismantling. the massive spending that government does isn't necessarily straightforward in terms of there

is certain certain rules within the you about looking after people who are unemployed and housing people you can't just throw people out on the street bigger cuts coming made in things like pensions public sector pensions and perhaps state pensions but again there might be significant objections by the by the italian people than and civil unrest in union militancy well looking in context italy and its position there in europe it's a third largest economy always has two trillion euros of debt that's more than greece portugal and ireland combined we've seen growing and bailouts and even in germany in other countries if after three years it does need a bailout could the e.u. even afford this it's going to be a massive some isn't it. i don't think the issue is going to be dealt with in three years' time i think the issue will be dealt with in the next six months.

maybe maybe in the next year i don't think that this can be pushed back that that far out because the measure said it won't work is that what you're saying they won't work in that three year period it's just not going to work. well it may work to appease the market in the short term but longer term. all these countries many western countries have simply too much debt and it is very very difficult to manage that debt moving forward if the markets keep dividing higher interest and really a default situation of elise some of the european debt has to be on the table and will probably be on the table within the next six or twelve months so since the crisis started we witness more and more countries are imposing austerity measures or getting bailed out of both but with little success so why is it all going wrong . well i think it went wrong really at the outset of the whole

euro project in that the natural rebalancing of of the various economies through the exchange rate mechanism hasn't been replaced by another system to help countries in time of difficulty. and the stability pact which limits the amount of borrowing that countries can undertake has not been adhered to and many countries have been living well beyond their means for for many years and therefore when a crisis sorry to interrupt a lot of time but in effect then it's all gone wrong drop the eurozone get out of the euro and get back to original currencies is not the idea because some countries are threatening to do that. i think that that is definitely a possible solution another solution is a debt write off another solution is having a more centralized fiscal system within europe where the e.c.b. actually. collects the money in terms of issuing bonds at a much lower interest rate at the group strength and then. gives it to the various

member states but that is something is going to take a long time to implement and the european leaders haven't got around the table to implement new new new structures you're a financial advisor with all these moody's grades in these ratings for various countries in the course of the problems the bells ringing throughout the eurozone as a financial advisor would you advise me to invest in europe or not. but i'm not buying european debt. certainly would avoid the the big countries and i think that. is got to be on the table at some point and i think it's difficult to. see how well how that can be does someone say when countries are on their knees when the financial problems are really bad that's the time to start investing again or not. maybe but there are other alternatives there are alternatives such as gold which we've done very well and over the last few years

commodities real assets not paper based assets is where i've been focusing our investments over the last couple of years and that has proven a much better strategy than perhaps paper based assets which in many ways are questionable moving forward really interesting to talk to marco thanks very much indeed for joining us live there in london financial adviser and wealth manager mark potter thank you. well as the global debt crisis sweeping through europe reaches italy max kaiser and stacy herbert discuss how its national gold reserves might make it a target for financial perspectives that's in the cards report coming your way later today but here's a quick preview for you. italy's got actual gold that the i.m.f. and the people who support the i.m.f. the terrorists as i mentioned like eric cantor they are helping to facilitate the thieving of that twenty four hundred tons of gold because that is meaningful they need that gold because of course is the i.m.f.

going to get the airport landing fees from naples or sicily. now. as divers continue to retrieve bodies from the volga river the number of victims after the pleasure cruise is sinking on sunday has risen to one hundred thirteen the vessels captain was also among the dead his body reportedly found on the bridge meanwhile more details emerge of procedural violations that could have contributed to the tragedy the bulgaria's crew reportedly understated the passengers on board to obtain permission from river controllers to set sail claiming the number to be just twenty instead of two hundred russia's prime minister putin has visited and paid tribute to the rescue operation and said that those whose negligence and greed led to the disaster must be punished reports now on how the investigation proceeds . the first arrests have been made and this is starting to move beyond just

a disaster recovery operation for two people that have been arrested so far in new york she is the owner of the company that rented double daria for what would be its final voyage also give us a show of he is a state expert on shipping and some time before the voyage he said that the boat daria was fit to sail and so perhaps was negligent in that decision divers are still working. in our in our out in a on a platform out in the river over the sunken bulgaria it's now estimated there are around a dozen bodies left to be recovered divers have explored most of the ship now might be some places left where bodies could be but it is possible that some of those bodies may know may not be in the ship they may be in the water around the ship and in a worst case scenario currents may have carried some of the bodies up to two hundred

kilometers downstream there's also been revelations added to the case of the of the ball garia and was particularly concerning to ships just after the sinking but passed by and didn't pick a single person up there's been massive public fury over this and that space has recently been perhaps somewhat tempered by the views of some experts saying that actually these two ships that arrived with people in the water and in the oil slick around them they weren't passenger ships they were barges and it would have actually been very difficult for them to pick people up and they may have actually hindered the third ship the arabella which came in did start to pick people up we earlier spoke to the captain in exclusive interview the captain of the arabella saying what he found when his ship arrived at the scene of the disaster. it happened really fast five to ten minutes after we heard the distress call as we approached it was hard to distinguish in the dark water people who were alive from

the rubble that was floating around and people were in panic when we rescued them we're going to state of shock with some suffering from other traumas they were all covered in oil fuel that was leaking from the sunken ship it was a terrifying picture of discerning. captain of the arabella also added his own views to those of those two other captains he was in the vicinity as they were and he gave his own views on the public fury and the experts saying well maybe it was they didn't do so. an awful thing let's hear what he had to say about that. because we were approaching the position of the tragedy we're almost at the same time as a heavy cargo ship and i don't know why he didn't stop it maybe he tried to but the inertia of heavy cargo wouldn't let him but as we approached the side its presence could only hamper the risk you want to ration you know you asked him to proceed and not waste time so there's very mixed feelings now about the role of these two ships the rescue operation will shortly if they can recover the rest of these bodies be

moving into its next phase and that is for two ships specially equipped to try and raise the sunken bowl garia and then it will be known hopefully in a proper investigation can start as to why this ship sank and sank so fast causing so much tragedy. tom bought reporting there and we've got more on our web site including footage of the recovery operation still underway in the volga river you can log on to our team dot com for the firsthand account. russia has less disagreement with the u.s. on the libyan crisis than with some european countries that's the view of foreign minister sergei lavrov after talks with the u.s. secretary of state hillary clinton is going to brings us more now from our washington bureau. with regards to leave both russia and the u.s. have the view that colonel gadhafi must step down and that leaves should be able to choose their future leader it's the path towards those aims that moscow and washington disagree on the world russia criticizes the scope of the into the

foreign intervention in libya possible sees the actions of the allied forces forces there as a violation of the un mandate minister lavrov said the resolution is being wrongly interpreted as anyone can do whatever they want foreign minister lavrov was also asked about why russia is blocking a u. and they should have to condemn the syrian president assad he said the attitude of the west is exclusively about exerting pressure on one of the parties namely the syrian government and president all side of moscow sees it as sees it as the wrong attitude russia says it sends the wrong message to the syrian opposition prompting them to believe that if they were remain insistent and the situation keeps getting critical the west will come to help them the way it is happening in libya mr lavrov said it's unacceptable that the opposition resort to violence agitating peaceful protesters into engaging in armed clashes and if actively turning them into targets for the police and security forces take a listen we're going to deploy. diplomacy exists not to condemn and score political

points diplomacy exists to solve problems and naked condemnation without proposing any solution won't leaders to any breakthrough neither in syria nor in any other place is a good example of how we are dealing with the situation in yemen no one's tripos into condemning anyone or adult the u.n. security council resolution supporting one or another signed everyone has to sign down and hold negotiations dance a responsible approach that we hope will prevail america's missile defense plans is one of the most irritating issues in the relations between the two countries president obama has scrapped the bush administration missile defense plans but they're going ahead with a new plan for many. said russians need a firm legally binding guarantees that the project will not threaten russia's security washington has made reassuring statements before but moscow needs to have it on paper so there is an understanding among the russians that words are good but

words in a legally binding document are better. well to read more about the agreements reached cheering so you get a visit to washington you cannot onto our website is our t.v. dot com that's alongside other news videos and blogs here's a taste of what's on right now find out why a monument to the first man in space you can guarantee has been unveiled right in the very heart of london also. fugitives of freedom both furry and feathered right people run away to the circus but this unlikely trio escaped from one of the press event of the monkey the parrot got together to get away from it all. daring bid to break loose at r.t. dot com. a wave of criticism is governmental in israel over a new bill that outlaws the boycott of israel and jewish settlements on occupied palestinian territory opposition parties have called the an attempt by weaken

government to silence the people one peace movement has petitioned the supreme court against the bill prime minister netanyahu who faced a stormy session in the knesset on wednesday where he was himself forced to defend the way some members will tell him protest legislation imposes fines on oil court there's another set list to sue them for compensation marble guti from boycott divestment and sanctions movement in ramallah says the bill will only make the pro palestinian action stronger. has never been a democracy and can never be a democracy so long as it's an apartheid state so long as it has tens of flaws discriminating between its jewish and non jewish citizens so long as it denies millions of palestinian refugees the right to return home and so long as it continues with its occupation of the west bank including is true as well as gaza so a country committing such violations of international law of basic human rights cannot call itself a democracy professor illan puppet israeli historian maybe had to try to when he

said that. for which is a democracy only for the master class not for everyone if anything israel is going it's really pushing first forward in digging the grave of its occupation and apartheid as long as palestinian rights are not respected by israel as well as dark a creation continues apartheid continues then i look refugee right continues to list to me and i have no choice but to continue to resist to continue to struggle now a brief look at a couple of other international headlines at this hour in our world update victims of the three coordinated bombings in mumbai are being laid to rest at least seventeen were killed when a blast struck three downtown location evening rush hour. attacks are well prepared and equip the sophisticated explosive devices investigators admit they've no immediate suspects but say that all terror groups are being considered.

suicide bombers attacked the memorial service for the assassinated half brother of afghan president hamid karzai at least four people were reported killed in the blast that rocked the mosque including a top cleric a day earlier two explosions shook the city of kandahar during a funeral ceremony for a while because i believe his brother was shot twice by his family friend a longtime head of security on tuesday. well let's bring it up to date for the moment some of our main news stories about seven minutes from now in the meantime is the business news next an r.t. that's with marina after the short break. hungry for the full story we've got it for us the biggest issues get a human voice face to face with the news makers on.

the show to be soon which brighter if you know about that song from the finest impression. starts on t.v. dot com. hello and welcome to business here on r.t. safe haven assets such as gold are seeing renewed the back end over fears the u.s. could lose its top notch credit rating moody's investor service is threatening to downgrade the country due to political deadlock over raising the state's that ceiling although it's still seen as unlikely by many analysts a downgrade could cause mayhem and the markets. in many investment funds etc must only invest in aaa so therefore a lot of them would have to divest of their investments in u.s.

treasuries and that would put a solid. pressure to the downside on the treasury's the yields would go up become more expensive because i say to borrow money from what is a pretty pretty poor deficit situation at the moment so it would be quite grim and would harm the u.s. is the prospect for g.d.p. growth in the future but in the end the consequences of a default by the united states are far too far even for these people to contemplate and therefore i would probably suggest that they not. we'll come to an agreement both sides will have to give way a little bit but they'll come to an agreement. now let's take a look at the markets now and gold is trading at record highs as investors look for a place to park cash silver is there an even better itself three percent but it's still some way short of the record that set a couple of months ago. and let's take a look at what's happening at the u.s. markets wall street is in the red this hour that's despite reports of

a three month low for droplets benefits applications conoco phillips is leading the gains among energy stocks after announcing plans to spin off its refining unit and on the losing side the shares of hotel chain marriott's international fell by over eight percent after it said third quarter earnings would be below expectations. now european markets also closed in their ad but lloyds banking group was up over three percent bucking the trend there in london and in frankfurt metro a.g. and commerce bank were down about three and four percent respectively carmakers b.m.w. v.w. and dion learn to work pretty strong though. and in russia markets closed on the positive notes on bargain hunting this spike concerns over that in europe and the us though we didn't really see big numbers there now let's take a look at some individual movers on the my sax cast from last almost one percent

despite announcing a deal with r w e n will have more about in just a moment he was burbank was positive about point four percent and telecoms giant ross telecom first rebounded from a bad start to the day and that the session in the right point seven percent and overall the day strait could be described as nervous and then. in europe or in the woods. to people were booed was going to happen to need to be the word to go. parked in other countries new europe the euro zone the stress in the u.s. you have the situation where you know the. agency is where you are serving the review which is also quite worrying for the commodity to grow through the strong. in russia. the basically. no opinion.

prevents from most of asserting. the russian shares by whom institutional funds. russia's biggest companies plug n n c europe's power generating sector gas sprawl and germany's are that we are to create a joint venture with plants across the continent now earlier there are spiegel magazine reports that there are gas monopoly could become a key stakeholder in. investing as much as fourteen billion dollars are doubly needs cash as it seeks to develop new sources of energy after the german government's at the side it's a band in nuclear power all that's all the business news for now and join us for another updates in less than an hour's time in the meantime stay tuned for the headlines with bill.

the. in india in the movie joyce the hotel rooms. the gateway hotel the grand imperial troy told us to.

sit down to go and. run this hotel treat. good to have you with us if you just joined us this is our top stories now fresh arrests over the u.k. phone hacking scandal. already shaken empath with the media mogul himself pressed into facing different questions meanwhile public fury over the case challenges the future of britain's newspaper industry. calls for the u.s. to cut spending and threats of the country's credit rating could be downgraded if lawmakers fail to raise america's debt ceiling. plunge deeper into economic crisis with its really becoming the latest country to possible start emotions. and one hundred thirteen bodies have now been recovered from the water after sunday's

pleasure cruise of disaster on the rhythm continue efforts to find around twenty still missing. back with more on those stories more developments in less than thirty minutes from now in the meantime it's all special report on one of the most scenic regions in russia from lush woodland to majestic mountains the region is a sight to behold discovering russia is next. the region deep in the sun far east is one of russia's newest territories. two thousand and eight it brought together the chip. regions and with it a striking mix of asian and european culture. traveling around you can find buddhist temples spooling national parks and remote villages that still practice traditions that date back a thousand years but if you're flying here in the regions vibrant capital.

one of. course the best way to get to know is to have a local show you around and i know one lady here who's promised to serve me a bit of what life is like in the fast lane. just over three hundred thousand people and it's a real mismatch of styles it's one of the only cities in russia that's based on a grid system and the downtown area has some beautiful european influenced architecture but the further you rolaids the more soviet and industrial it becomes . if you don't mind the teeth this is a great way to see the city. friends on the only bike isn't should. these guys prefer to ride off the roads.